Aparna Bhatia and Amanjot Kaur
The purpose of this paper is to investigate whether information asymmetry mediates the relationship between disclosure and cost of equity.
Abstract
Purpose
The purpose of this paper is to investigate whether information asymmetry mediates the relationship between disclosure and cost of equity.
Design/methodology/approach
The study is based on a sample of 500 companies listed in Bombay Stock Exchange for a period of six years from 2015 to 2021. Panel data regression is applied to analyze the relationship between voluntary disclosure, cost of equity and information asymmetry. Mediation effect of information asymmetry is tested with the help of Barron and Kenny’s (1986) approach.
Findings
Findings suggest that in case of Indian companies, disclosure reduces cost of equity directly and indirectly through mediation of information asymmetry. Indian investors value credible information for better estimation of future returns, supporting the validity of estimation risk and stock market liquidity hypothesis, which proposes an inverse relationship between disclosure and cost of equity.
Research limitations/implications
Managers can use the findings to strategize their disclosure policy and secure funds at lower cost. Shareholders can monitor managerial actions by demanding credible disclosures. Government too can encourage voluntary disclosure by providing special incentives to the firms.
Originality/value
This study is a pioneering research that investigates the mediating influence of information asymmetry between disclosure and cost of equity with reference to the Indian corporate landscape.
Details
Keywords
Vikas Kumar, Amanjot Singh Syan, Amanpreet Kaur and Bikramjit Singh Hundal
This study aims to examine the farmers’ awareness level and explores the factors, which may influence their adoption intention regarding solar powered pumps.
Abstract
Purpose
This study aims to examine the farmers’ awareness level and explores the factors, which may influence their adoption intention regarding solar powered pumps.
Design/methodology/approach
The study consist of a sample of 510 respondents selected from the rural region of Punjab (India) by using convenience sampling. Descriptive analysis, exploratory factor analysis, confirmatory factor analysis and multiple regression analysis techniques have been used for the analytical purpose.
Findings
The study reveals that dimensions such as perceived benefit, perceived compatibility and government incentives have a significant impact on intention to use solar powered pumps, whereas high investment cost and lack of awareness regarding government subsidies are the main reason for non-adoption of the same.
Research limitations/implications
The sample size has been selected on the basis of convenience sampling and has been taken from the rural area, which may affect its generalizability.
Practical implications
The present research is expected to be useful for the manufacturers, regulators, customers, commercial banks, product and service providers, and other environmental institutions.
Originality/value
The study has acknowledged various intentional factors, which influence the adoption decision of solar powered pumps. Therefore, the present study will be useful to formulate action plans to improve the environmental quality.
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Keywords
Vikas Kumar, Amanjot Singh Syan and Komalpreet Kaur
The underlying research is an attempt to discover the factors responsible for influencing customer purchase intention towards solar water heaters.
Abstract
Purpose
The underlying research is an attempt to discover the factors responsible for influencing customer purchase intention towards solar water heaters.
Design/methodology/approach
Six dimensions have been considered to assess customer purchase intention towards a solar water heater. The primary data involves the responses collected from 695 respondents belonging to the north region of India using a convenience sampling technique. Structural equation modeling analysis has been employed to examine the dimensions' impact on customer purchase intention.
Findings
The results concluded that dimensions such as increasing energy prices, product knowledge and experience, financial support and subsidies, perceived cost, have a positive influence on customers' purchase intention of solar water heater except for the dimension of “solar water heater aesthetics”.
Research limitations/implications
Due to the limited sample size, findings cannot be generalized for the large-scale population. Moreover, this study is only confined to the assessment of particular factors that are affecting the purchase intention of customers confined to solar water heaters only.
Practical implications
The present study will provide an advantage to organizations that are in the process of implementing solar energy products into working. Moreover, this research will also assist policymakers regarding the formulation of policies on solar energy products. An undue advantage of this would be the increasing adoption of a solar water heater by understanding the factors that impact customer purchase intention.
Originality/value
Considerably, this research, by filling up the gap in the existing studies, will empirically contribute to the customer purchase intention towards SWHs. Additionally, the results of the study will also endow an additive advantage to the existing firms.